I know this tweet was posted a few days ago, but it didn't show up here. Shit's about to get real bad, real soon.
I remember seeing stuff in 2019 about the yield curve inverting and recession coming soon
Technically true since COVID did it.
Um I was tired when I wrote that, but I think I meant "waiting to become a full blown recession once the feds can't re-inflate the bubble anymore"
"The bubble" has popped multiple times since 2009. The Fed just steps in to reinflate it very quickly and so far, that has worked.
this supposes wells fargo knew the crash was coming last time, which they didn't, and do this time too, while other financial institutions haven't. furthermore, personal lines of credit have no correlation with the general economy as a whole, it's just a service they provide. I don't buy it. the economy is, in the long term, set to crash likely in a sub prime mortgage crisis again due to spiralling house prices, but fuck all of that has to do with wells fargo providing lines of credit
it just comes off as wishful thinking a collapse will come giving the left more power. and, if anything, with how depressed a lot of assets are right now and basically 0% interest rates the last year, capital is on a mass accumulation spree right now to turn that free money into assets
You say this is wishful thinking? I'm looking to keep my fucking head above water. I'm already unemployed looking for a job. The minute the market goes to shit, a hiring freeze gets put on. How the fuck to do I pay my bills then, hmm? UI? AZ UI sucks and I'm fighting with them right now.
To me, this is a fucking wake up call to get my resources together before shit hits the fan even more so than now.
I'm poor too mate, don't get on my ass about that. I'm not the one who fucked the economy
Maybe we should all get together and do something about this
:thinkin-lenin:
I mean if we’re talking the US, fucking nothing is to be done
Nah I’m pretty sure if Lenin was alive today and saw how fucking propagandized and cucked the American people are he’d say “yeah these fuckers are a lost cause”
No such thing as a lost cause when the consequences for failure are as astronomical as they are in this situation.
Thing is people actually have to feel the effects of those consequences before they’re motivated to do anything. The thing about modern capitalism is its very good at delaying the effects till long after there’s much we can effectively do about them.
Are you aiming to change the aggregate direction of everyone all at once, or that of a smaller group that can then be replicated across the country?
Wells Fargo didn’t directly answer questions as to what role, if any, the Fed asset cap played in its latest move.
The bank gave this statement: “In an effort to simplify our product offerings, we’ve made the decision to no longer offer personal lines of credit as we feel we can better meet the borrowing needs of our customers through credit card and personal loan products.”
After publication of this article, a Wells Fargo spokesman gave additional remarks: “We realize change can be inconvenient, especially when customer credit may be impacted,” the bank said, adding that it was “committed to helping each customer find a credit solution that fits their needs.”
So WF says why they did this but it's not much of an explanation. That was one of the questions asked: Is WF removing PLOC for added liquidity to cover some impending event? WF had removed HELOC a few months ago. Removing PLOC seems to be a strange move.
https://www.nbcnews.com/business/business-news/wells-fargo-tells-customers-s-shuttering-personal-lines-credit-rcna1370
I found this reply/chain. It might explain it better than I can
https://twitter.com/1mikaelams/status/1414615064552919041
I don't think anyone thinks ending personal LOCs has anything to do with the current housing bubble. It's just a sign of economic instability and a sign of impending crisis, generally. I mean, the writer of the article called it strange and Wells wouldn't comment on the move.
the market is not unstable though, it's arguably harrowing how stable it is with the whole mass death thing going on. tech is booming, house prices fully recovered and more, and many large companies are hugely up this quarter as lockdowns end. wells fargo also still provides other forms of credit
That’s one possibility.
I’m also immediately reminded of Stafford Beer’s Designing Freedom where he talks about institutions, how they can vary from very rigid and brittle (few avenues of response), or flexible (many avenues of response). It is equally plausible to me that the modern financial system is quite rigid (you see what happens if you step out of line!); that the major players have relatively few institutionally-sanctioned options to deal with the changing conditions. So the train stays, quite remarkably, on the rails. Until of course it doesn’t.
I’m not confident that this is the case tbh, but it does seem equally plausible to me
I thought we already were going through one. No one cam afford housing, the price of everything has gone through the roof and no one is being paid properly.
you're confusing the economy, where real people buy tangible things, with The Economy, the line that goes up and down
Can’t believe we have an emoji from homestuck now :angery:
I don't know if a recession is coming or not but this is not an indicator of it either way. This guy is also telling people to take their money out of the bank further down in the thread.
lmao, the next run on the banks is gonna be because a backseat finance guy on twitter
Probably not tbh. Stuff like this just slows things down a bit for the bourgeoisie who have lines of credit
